RBI given more powers to tackle NPAs, says Jaitley


Team Udayavani, May 5, 2017, 5:22 PM IST

New Delhi: Reserve Bank has been given powers to identify specific loans gone bad and enforce quicker resolution with the government amending the banking law through an executive order, Finance Minister Arun Jaitley said today.

President Pranab Mukherjee last night signed the ordinance to amend the Banking Regulation Act, giving RBI powers to direct banks to initiate insolvency and bankruptcy in case of default, he told reporters here.

He said a list of some of the stressed assets is already with the RBI and it is looking into it. “Present status quo cannot continue. And the present status quo is that not much was moving,” he said.

On the need for an ordinance, he said RBI required to be empowered in relation to specific stressed assets. Sale of assets, closure of non-profitable branches, reduction of overhead and business turnaround initiatives will be part of resolution process, he said.

Non-performing assets or NPAs of banks have risen to about 17 per cent of total loans, the highest level among major economies. They are about 8.4 per cent of the GDP, according to Credit Suisse.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Temple idols found desecrated in Hyderabad, case registered

SC junks plea against quashing of LOC issued to ex-house help of Sushant Singh Rajput

JPC chairman Jagdambika Pal to visit K’taka on Nov 7 to meet farmers protesting Waqf notices

Indian boxer Mandeep Jangra wins WBF’s world title

IOA submits ‘Letter of Intent’ to host 2036 Olympics in India

CBDT allows tax officials to waive or reduce interest due from assessee

Like UP, bring BJP to power in Jharkhand to ‘bulldoze’ mafia: Yogi at Koderma poll rally

Related Articles More

Temple idols found desecrated in Hyderabad, case registered

Rebels to be shown the door: Maharashtra BJP chief Bawankule

SC junks plea against quashing of LOC issued to ex-house help of Sushant Singh Rajput

People of Wayanad will ask me not to come there often: Priyanka Gandhi

Indian boxer Mandeep Jangra wins WBF’s world title

MUST WATCH

Gho Pooja in Deepavali Festival

Melukote Deepavali

Ganapathi Co-operative Society Ltd

Udayavani Chinnara Banna 2024

Annapoorna Aahar | Food Places In Mysore


Latest Additions

Temple idols found desecrated in Hyderabad, case registered

Rebels to be shown the door: Maharashtra BJP chief Bawankule

Rohit Shetty says ‘Singham Again’ his fastest Rs 100 crore film, thanks audience for support

SC junks plea against quashing of LOC issued to ex-house help of Sushant Singh Rajput

People of Wayanad will ask me not to come there often: Priyanka Gandhi

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.